A firm should make an investment if the expected return is greater than
A) the marginal cost of the investment.
B) the fixed cost of the investment.
C) the opportunity cost of the investment.
D) the expected rate of inflation.
C
Economics
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Consider the monopsony in the above figure. The 200th hour of labor creates how much added revenue per hour for the monopsony?
A) $10 B) $15 C) $20 D) None of the above answers is correct.
Economics
Banks that are managed in a very safe and conservative manner can be expected to earn
a. high, steady profits. b. high but volatile profits. c. low and consistent profits. d. low profits with occasional major losses.
Economics